BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Fixed assets are held for more than a year because they have longer useful lives and are not expected to be converted to cash sooner. Examples include vehicles, manufacturing equipment, furniture and buildings.

Detailed explanation-2: -Understanding Long-Term assets Some examples of long-term assets include: Fixed assets like property, plant, and equipment, which can include land, machinery, buildings, fixtures, and vehicles. Long-term investments such as stocks and bonds or real estate, or investments made in other companies.

Detailed explanation-3: -Long-term assets (fixed assets) Long-term assets (also called fixed or capital assets) are those a business can expect to use, replace and/or convert to cash beyond the normal operating cycle of at least 12 months. Often they are used for years.

Detailed explanation-4: -The Bottom Line A fixed asset is a long-term tangible property or piece of equipment that a company owns and uses in its operations to generate income. These assets are not expected to be sold or used within a year and are sometimes recorded on the balance sheet as property, plant, and equipment (PP&E).